The Best Credit Card : Where to Find

With so many different issuing companies and credit cards, trying to find the best credit card can be challenging.  After all, when you begin looking around and making comparisons, you will probably discover the process daunting.  Although merchants, banks, and credit unions have always been competitive in getting customers, with the current economy, even more services and rewards are being offered at lower prices.[br]

With so many different issuing companies and credit cards, trying to find the best credit card can be challenging.  After all, when you begin looking around and making comparisons, you will probably discover the process daunting.  Although merchants, banks, and credit unions have always been competitive in getting customers, with the current economy, even more services and rewards are being offered at lower prices.[br]

For you, this makes finding the best credit card even more exciting.  Keep in mind that when having a credit card, it is imperative that you know your budget.  Today, most people have at least one card and unfortunately, they overspend.  Therefore, you need to know how much you can afford and use the card only when needed.  In addition, the best thing you can do is pay the full balance off each month so you are not carrying the interest over to the next month.

One important note as you begin to look for the best credit card is to realize that every time you apply for one and that issuing company runs your credit report, it shows up on one or all three of the reporting agencies as an inquiry.  Each inquiry actually reduces your FICO score, which in the eyes of creditors, makes you look more and more like a financial risk.  For this reason, you should always do your homework first, choosing the best credit card and then completing the application.  Randomly filling out applications would have a negative impact on your credit report.[br]

To narrow the choices down to just one or two issuing companies when looking for the best credit card, we recommend you begin by looking at what reputable companies offer.  You could go directly to Visa, MasterCard, American Express, Discovery, and so on or go through a bank or credit union.  If you choose the latter, the better companies include Capital One, Bank of America, JP Morgan Chase, Citigroup, HSBC, US Bancorp, and Wells Fargo.

Even when you narrow down potential issuing companies, now you need to look at the various types of credit cards offered.  For this, you also want to remember that each card is going to be approved on a unique set of criteria.  This is why it is so important that you reach all the details.  As an example, if you are a student, you should look for the best credit card designed specifically for students.  If you need a card to make purchases for your small business, then the credit card should be one designed for small business owners.

Another aspect of finding the best credit card is determining the benefits the issuing company is going to offer.  Some companies have high startup fees while others will wave this expense.  Some card companies and banks have no rewards programs associated with the cards offered while others have shopping discounts, frequent flyer miles, rebates, and so on.  You need to weigh pros and cons of each card that matches your needs.

Of course, the interest rate is also a huge deciding factor, especially if the card comes with a 0% introductory rate.  In this case, the card would charge no interest for the introductory period, which could be anywhere from three to twelve months.  However, the best credit card is going to be one that now only has a long introductory period but also one that would provide low interest once this period is over.